ETF Spotlight: Guggenheim Solar

Jan.20.11 | About: Guggenheim Solar (TAN)

ETF: Guggenheim Solar (NYSEARCA:TAN)

Assets: $149.3 million

Objective: Tracks the MAC Global Solar Energy Index, which owns 30 securities in the solar energy industry.

Holdings: Top names in the fund include First Solar (NASDAQ: FSLR), Meyer Burger Technology (NYSE: MBTN), Trina Solar (NYSE: TSL) and Suntech Power Holdings (NYSE: STP).

What You Should Know

  • TAN is primarily a small- and mid-cap play, and gives a respective 56.9% and 33.2% of its weighting to the market caps. Just 9.9% is allocated to large caps.
  • China, Germany and the United States are the largest holdings; all three countries account for 27% of the fund apiece.

The Latest News

  • It’s been suggested that solar power is becoming more attractive than oil when it comes to running power plants in the Middle East. That’s because prices for solar are falling.
  • Solar power producers in Germany agreed to subsidy cuts of as much as 15% in order to compensate for a solar energy boom that drove costs higher in the country.
  • Panels are so popular in Germany that energy prices for those not using them have shot up sharply, says Monsters and Critics.
  • Solar energy could be what solidifies relations between the United States and China. Oil prices have topped $90 a barrel, so cooperation on clean energy is becoming increasingly paramount, says Reuters.

Solar ETFs, Solar Energy, TAN

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